Can I Sell Gold With No Hallmarks In The UK?

In the United Kingdom, there are strict rules surrounding hallmarking of precious metals. Having these rules in place provides a level of safeguarding for consumers, ensuring the authenticity and purity of precious metal items such as gold, silver, and platinum. A hallmark is an official mark or series of marks stamped onto the gold after independent verification by an Assay office, which confirms the gold content and quality.

Legal Requirements for Selling Hallmarked Gold in the UK as a Business

Under the Hallmarking Act 1973, it is illegal for any business to sell or describe gold articles above certain weights without the correct hallmark. Any item of gold weighing below 1 gram is exempt from this rule. Any items above this weight that are no hallmarked, must not be described or sold as a gold article. Non-compliance by a business can lead to fines of up to £5,000 per item.

Selling Unhallmarked Gold as an Individual

There are numerous situations where you may come in possession of gold without hallmarks. For example, you may have bought gold jewellery abroad in a country that does not enforce strict gold hallmarking rules. You may have inherited some scrap gold that you are now looking to sell. Unfortunate situations can also arise where you have bought hallmarked jewellery but if you have worn the item a lot you can wear the hallmarks away at points of contact with the skin, we see this frequently with people looking to sell old gold rings.

It is important to note that the rules for businesses selling gold are not exactly mirrored to individuals. You are permitted to sell unhallmarked gold items as an individual to jewellers and gold buyers in the UK. However, you can run into difficulty if you try to list gold without hallmarks on marketplaces like eBay and Vinted as they will likely prohibit you from selling items described as ‘gold’ or detailing any purity without the appropriate hallmarking.

Selling your items to a professional gold buyer should be a simple and fair process, as they will have the equipment to analyse and test your gold’s purity without having to rely on reading hallmarks.

Considerations When Selling Gold Without Hallmarks to Gold Buyers

• Testing and Valuation: Specialist gold buyers often use methods such as X-ray fluorescence (XRF) analysis to determine the metal’s composition. This ensures that the gold content aligns with any claims or expectations.
• Potential Impact on Value: Unhallmarked items may be valued lower than hallmarked equivalents. If it’s jewellery, the piece will almost always have to be melted down and recycled as it can’t be resold as a jewellery piece. There may also be fear of the item being fake or having a non-gold core, which can impact the valuation.
• Provenance and Documentation: Providing any available documentation or provenance can assist in the valuation process and may enhance the item’s credibility, thus potentially improving its value.

Recommendations for Sellers

• Use a specialist gold buying business: Choose a specialist gold buyer who has access to high-end equipment to test your gold non-destructively and accurately. Small-scale gold buyers may not have access to XRF machines and thus may undervalue your gold as they cannot accurately establish its purity.
• Consider Hallmarking: If you have unhallmarked gold that you expect to be of considerable value and exceed the 1g weight exemptions, you may consider getting your gold assayed at your nearest Assay Office. There is a cost to this, but it will allow you to have your item hallmarked, and this in turn may mean your item is valued way beyond the hallmarking cost.

In summary, while UK law enforces that businesses must not sell gold with no hallmarks above 1g in weight, private individuals are allowed to sell such items to gold buyers and jewellers. You may run into difficulty trying to sell an item as an individual online via a marketplace.

At Cheshire Gold Xchange, we possess all the necessary equipment to test and value your gold without causing any damage to your item. We will pay high prices for gold with no hallmarks and treat it the same as hallmarked gold.